Bundlefi | How Technology is Helping Community Banks Thrive

How Technology is Helping Community Banks Thrive

How Technology is Helping Community Banks Thrive

Once upon a time community banks were lagging behind on modern day technology. It would be difficult to find a local bank that offered online banking, and community banks with debit cards were few and far between. Now back to that once-upon-a-time. Just like with fairy tales, the reality is that community banks always had access to banking technologies. Some banks simply took longer to implement what was once highly technical and super expensive services. Thankfully banking technology has taken a 180-degree turn in the customer’s direction.

Information Technology for Banks

A huge roadblock for banks in the early days of the internet and mobile devices was a lack of knowledge about this type of technology. No one really understood what the internet was all about, and when cell phones first came out mobile banking was still far from the imagination.

Furthermore, bankers are not information technology experts, and most banks were still in the infancy of using IT services to handle banking needs. A major reason for this is that the information technology has been a fast-paced revolution speeding across all industries in rapid time. It took community banks a while to get caught up, but they are ahead of the curve today.

More Affordable Technology

As banks worked diligently to be able to offer the “next big thing” for banking customers, technology also went under a major transformation. Whereas computers were once thousands of dollars, today you can buy a laptop for a couple of hundred.

Microprocessors and computer chips the size of a grain of rice can compute faster than any computer system in the history of mankind. Just as technology zoomed ahead, it also became cheaper to produce. As a result, the same banking technology that was once cost prohibitive for small banks is now easily accessible.

Improved Technology for Local Banks

Today community banks have the ability to provide all of the IT services, online bank services, and mobile banking systems that the big banks have. Local banks might not have all the bells and whistles of mega banks, but then again for 99 percent of Americans, these bells and whistles are all blowing hot air.

Community banks offer you what they know you need in terms of banking technology. They listen to customers and provide those services that are most requested. By sticking to the desired services community banks avoid investing in excessive technology. Because you know what happens when banks have too many services, right? They have to find ways to pay for these, which brings this conversation full circle to those excessive banking fees charged by mega banks.

Types of Technologies at Community Banks

At a community bank you have access to all of the most important types of technology used in the banking industry. For starters, online banking is now a standard service at all banks including local banks in your neighborhood. Thanks to the accessibility and affordability of cloud computing and IT departments, even small banks are able to offer this service to customers.

You can also find local banks taking charge with computerized systems, such as live chat and virtual customer service. Now if you have an issue, day or night, and need assistance you can do so. No more waiting on banking hours from 9 to 5 to find out if a check has cleared or your direct deposit has went through.

Understanding the Value of Banking Technology

The biggest difference is that local banks are not charging customers for the use of these technologies. Big banks, on the other hand, like to slap fees and penalties for the use of technologies, ranging from online bill paying to using ATMs for withdrawals. Community banks understand that they need to offer technology to customers to remain viable.

It is part of their service, not an extra add-on that costs you more money on your monthly statements. If you want to enjoy the benefits of banking technology, but hate to pay extra for it, choose a community bank for your banking needs.

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